The nation’s largest energy retrofit that uses a new financing method was launched in Sacramento Tuesday. The project is part of Sacramento’s Property Assessed Clean Energy program or PACE

The PACE program allows property owners to pay for energy efficiency projects through their property tax bills.

This eliminates upfront costs that can discourage people from large energy upgrades like solar panels.

Metzler Real Estate is undertaking a $3.1 million dollar upgrade that will cut annual energy costs by 27-percent at its Metro Center Corporate Park.

Sacramento Mayor Kevin Johnson praised the project.

“It’s $140,000 that will be saved annually in terms of utility bills," says Johnson."That will help service the financing and go toward other projects in our community.”

Johnson urged property owners to take advantage of the PACE program, which is administered through Clean Energy Sacramento. It’s funded $4.2 million in projects over the past 90 days

“We want this to be the first, we want other office buildings and other folks to sign up and enroll and apply for the financing," says Johnson. "We want to be a leader in this community and certainly we think we’re on track to do that.”

The Metro Center Corporate Park improvements will include high efficiency rooftop heating and air conditioning units, and automated energy-efficient lighting.